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ABI Research: 27% of smartphones cost under $200 this year

Categories: Research
By: , IntoMobile
Thursday, November 5th, 2009 at 1:43 AM

ABI Research - smartphones reportWe dig the idea of falling smartphone prices. ABI Research has been following the market and they say that in 2007 only 18% of these devices were priced under $200 retail. This year, however, that percentage went up to 27%, and by 2014 the research company predicts 45% of them [smartphones] will be priced below $200.

According to ABI, these numbers show changing consumers’ attitudes toward smartphones, and a corresponding shift in vendors’ and mobile operators’ sales and marketing strategies which ultimately lead to the current situation where we have more and more smartphones and conventional (feature) phones being priced in similar ranges.

ABI also points out that some smartphones are never subsidized (i.e. Nokia in the U.S.), but increasingly manufacturers want to see their higher end models reach high volumes of sales.

ABI’s mobile devices practice director Kevin Burden said: “Prices will hold at a certain point. We may never see a $30 smartphone. But over time, smartphones will take a substantial part of the mainstream handset market.”

More information about ABI Research’s new “Smartphone and OS Markets” report is available from their website.

About The Author

Dusan Belic

Dusan has been using smartphones since their introduction and is now following the latest trends in the industry. The "convergence" is what he's most excited about, and writing about it is the next logical thing to do. He thinks that using a smartphone is what everyone who cares about their time should do. In addition to his interests in mobile phones, Dusan also loves to experiment with the latest web and mobile 2.0 services. The idea of accessing and managing your information from any device no matter where you are simply amazes him. Whether it's an online to-do list, note taking service or a video sharing social network, he's there to try it out. He admits though, he's still searching for the ultimate web-based organizational tool, which "sings" perfectly with the mobile PIM application. Dusan used to run SymbianWatch.com which later became part of IntoMobile. He lives in Serbia, South-East Europe, from where he edits the site on a daily basis.